Approve Korea free trade pact now, or risk losing out to the European Union

Editorial

THE ISSUE: Korea trade pact awaits approval.

April 18, 2011

For the record, the Sun Sentinel Editorial Board supports the free trade agreements that await approval in Congress, including a controversial one with Colombia. We think each would benefit the United States and Florida, and we've long supported those pacts.

But we don't believe an all-or-nothing approach to ratifying them is in the national or Florida economy's best interest. The pact that is most advanced is the U.S.-Korea Free Trade Agreement, and it ought to be approved on its own merits.

And approved now, so that the United States doesn't lose out to a Korea-European Union accord scheduled to take effect on July 1.

The Korea FTA was adjusted not long ago to accommodate concerns from U.S. automakers. In the absence of any other major objections, there's no reason to delay it.

Right now, Korea is America's seventh-largest trading partner. The pact stands to bolster that commerce in goods by as much as $11 billion per year, a 33 percent increase from the 2008 totals.

Florida stands to gain from the pact. The state exports in the range of $400 million worth of goods to Korea each year. Business groups estimate that some 128,000 jobs in this state are supported by that trade.

Those numbers could increase significantly once the treaty is approved. The FTA would, in the next few years, eliminate duties on medical equipment and other items manufactured in the Sunshine State. Duties on Florida agricultural products would be disposed of immediately.

The expansion of the Panama Canal could also steer much of that trade toward ports in South Florida. It's a propitious time for Florida's congressional delegation, which represents a region that gets much of its traffic from Atlantic and Caribbean commerce, to support broader business with Asian and Pacific markets.

Who could argue that the Sunshine State doesn't need the extra business? With an 11 percent unemployment rate, and with post-Sept. 11 security rules having dampened commerce within the hemisphere, the Korea pact offers a chance to turn fortunes around, at least somewhat.

Sure, the other FTAs would help, too, and we support them. But get Korea done, now.